Oakley Sues Fossil on Designs

Oakley Inc., a maker of high-end sunglasses worn by athletes and others, has sued rival Fossil Inc. for allegedly copying Oakley’s patented designs.

Fossil’s Rave and Surge models duplicate the design of Oakley’s popular Twenty sunglasses and Flaming O ear stems, Oakley contends in the federal lawsuit, filed Thursday in San Diego.

The suit also accuses Fossil of using Oakley’s patented coating for colored lenses, which Oakley sells under the name Iridium.

Foothill Ranch-based Oakley is using its patents to fight off competition as consumers reduce spending.

This month, Oakley reported that sunglass sales increased only 1.4% in the fourth quarter; the company abandoned its first-quarter earnings forecast in part because of the struggling global economy.

Fossil has “wrongfully profited from selling sunglasses that infringe” the patents, as well as Oakley’s Minute trademark, the suit contends. “Oakley is suffering immediate and irreparable harm.”

Oakley’s Iridium-colored lenses also are at the heart of a patent suit pending against Luxottica Group, the largest maker of luxury eyewear.

Oakley won a court order blocking Luxottica from selling sunglass models with emerald green or ice blue tinted lenses, and seeks the same type of order against Fossil sunglasses.

Oakley also seeks unspecified damages.

A spokeswoman for Fossil had no immediate comment. The Richardson, Texas-based firm, known for its Fossil and Relic watches, reported sales of $451 million for the nine months ended Oct. 5.

It is scheduled to report full-year earnings today. Fossil shares, which have risen 6.2% in the last year, fell 10 cents to $17.50 on Nasdaq.

Oakley shares, which have lost half their value in the last year, fell 6 cents to $7.88 on the New York Stock Exchange. Oakley, which also sells clothing, reported $489.6 million in sales last year.